A Syntrus Achmea fund, representing Dutch 17 pension funds, is co-investing in a housing and care-home complex alongside the Rabobank pension fund and industry scheme Landbouw.

The 19 pension funds are investing a total of €123m in the property in central Amsterdam, according to Syntrus Achmea Real Estate & Finance.

The €20bn Rabobank fund and Landbouw, an €11bn fund for the agricultural sector, are to participate individually and have committed “substantial” amounts, Syntrus said, which declined to provide further details.

The Amsterdam project consists of 317 “lifecourse proof” apartments that are not rent-regulated and 32 units for vulnerable elderly with chronic illness or dementia.

The 32 units for elderly residents would be created through a renovation of a care home run by Amstelring, which is to rent the accommodation. The apartments are to be built around the units, and would replace other parts of the old complex, said Syntrus.

“With this project, we can kill three birds with one stone,” said Henk Jagersma, chief executive of Syntrus Achmea Real Estate & Finance.

“We create modern living space in the centre of Amsterdam, where residents can stay if their need for care increases. Meanwhile, the care provider can keep on focusing on its core tasks. In addition, the project offers pension funds a healthy investment with an interesting risk profile.”

The Syntrus Achmea Dutch Healthcare Property Fund is target an annual yield of 7%, largely from direct rental income, during a three-year period.

The fund was established in 2008 and had a €104m portfolio at the end of 2014.